Nicola Sturgeon rejects IFS claims SNP plans will mean more austerity in an independent Scotland

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Nicola Sturgeon has rejected claims the SNP's manifesto plans could mean more austerity in an independent Scotland.

It follows comments by associate director of the Institute for Fiscal Studies (IFS) David Phillips that an independent Scotland would have to "count its pennies and pounds" in at least the first decade.

Ms Sturgeon made the comments while out on the campaign trail in Dalkeith.

Ms Sturgeon made the comments while out on the campaign trail in Dalkeith.

According to Mr Phillips, pursuing the types of policies suggested in the party's manifesto if Scotland was independent would mean either bigger cuts or other taxes would have to be increased to pay for proposed net giveaways.

Writing for The Scotsman, Mr Phillips said: "An independent Scotland would have to count its pennies and pounds in at least its first decade of life.

• READ MORE: SNP plans mean ‘more austerity than under the Tories’, says IFS
"It might therefore be understandable that the SNP manifesto does not draw quite the same attention to the price tag of its proposals as Labour and the Liberal Democrats, in particular, do."

Speaking on a campaign visit to the Happy Days Nursery in Dalkeith, Midlothian, on Wednesday, Ms Sturgeon said she did not accept the claim that austerity would continue.

The First Minister said: "I've got the greatest of respect for the IFS but I think on a number of instances, I think there are aspects that are not properly taken account of.

"Firstly I think there is a question about applying a Westminster manifesto to an independent Scotland, not because these are not things we would want to do - we would - but because an independent Scotland would have a range of levers at our disposal to grow our economy faster that we don't have right now.

• READ MORE: Why SNP election manifesto is overshadowed by austerity of independent Scotland – IFS
"But of course, the Growth Commission, which the IFS talks about, recommends continued increases in spending.

"If its recommendations had been applied retrospectively over the past 10 years, we would have escaped the Westminster austerity."

Ms Sturgeon added: "The other point that I think is relevant here is that the performance of the Scottish economy and the reduction in Scotland's deficit, that is already going better now than the Growth Commission estimated would be the case in 2021 because our onshore revenues have been rising.

"So the lesson here is that the more power Scotland has, the more of these levers of independence we have, the more we can seek to emulate the other similarly sized countries to Scotland that do so much better and grow our economy faster.

"And that's actually what the Growth Commission didn't factor in - that ability to grow our economy faster, which is really the essence of the economic case for independence."

Scottish Conservative finance spokesman Murdo Fraser said the analysis by the IFS had "taken the legs out" from under the SNP's case for Scottish independence.

• READ MORE: Scottish ministers reject bid to ensure new referendums need confirmatory vote
"This is a humiliation for Nicola Sturgeon," he said.

"Once again she's out today trying to whip up the usual complaints against UK austerity.

"Yet the IFS has set out the cold facts - if ever she got her way, Scotland would be facing a decade long depression, with less money for the NHS, less money for nurses and the police, and more cuts to services.

"The IFS analysis has taken the legs out from the SNP's case."

He added: "Nicola Sturgeon is still trying to treat people like fools. Today, the boot is on the other foot."